If you ever wondered why many people say the US and Europe are irrelevant targets for new and existing technology companies compared to China, just watch this Le Web interview with Hugo Barra - who recently left Google's Android team to join Chinese device maker Xiaomi. In it, he compares China's most popular internet services with their western counterparts - and 'our' services pale in comparison to China's.

The most impressive number? China now has 500 million smartphone users. Six months ago, it was 'only' 250 million. That's the scale and growth we're talking about here. I often hear people say "yeah, but China is mostly poor people with a few rich ones on top" - well, these figures prove otherwise. And the growth is far, far from over.

That's why I always chuckle whenever a major western company only highlights US figures. It just means they missed that huge, fat, Chinese boat.

To understand the reason why purchases of smartphones are rising, you have to step into the shoes of a Chinaman:

1) The average worker works away from home, living in a company supplied dormitory. As a worker away from home, you're not going to be buying a desktop computer if you want to use the internet. Now that smartphones can do the job of a computer, people are investing in smartphones.

2) Since workers work away from home and don't get to return home much, smartphones are moderately priced presents to buy for relatives or family members when they return home.

3) The younger generation grew up with social networks and need the internet to survive. A smartphone fits the bill cheaply.

4) Smartphones come with a breadth of entertaining games and parents find smartphones a cheap way to buy a device to entertain kids young and old.

5) With the rise of online messaging apps on smartphones, people are migrating away from SMS services which cost money. Online messaging apps make communication with old friends cheaper.

Even if smartphones are expensive purchases, they are practical tools that are a necessity.